Small Business Support

I am committed to helping small businesses thrive by cutting through bureaucratic red tape and simplifying regulations. Massachusetts currently has one of the highest tax and regulatory burdens for small businesses in the country. According to the Tax Foundation, Massachusetts ranks 46th out of 50 states for tax climates in 2024. My focus is on providing relief in key areas that hinder growth and competitiveness.

Key Reforms I Will Advocate For:

Sting Tax on S-Corporations: The outdated sting tax places an additional burden on S-corporations with revenues over $6 million, adding up to an extra 3% in taxes on top of personal income taxes. This discourages business growth and expansion. I will push to reform or eliminate this tax to allow S-corporations to grow without facing excessive penalties.

Unemployment Insurance (UI) Tax: Massachusetts’ UI tax is nearly double the national average, making it harder for businesses to hire and expand. I support reforming the UI system to reduce the tax burden on employers, while also creating incentives for hiring long-term unemployed individuals, promoting job growth and economic stability.

Estate Tax Reform: Massachusetts has one of the lowest estate tax thresholds in the country, making it difficult for family-owned businesses to pass their operations to the next generation. I will work to raise the threshold to $5 million, aligning Massachusetts with other states and helping to protect small businesses from heavy taxation.

Simplifying Licensing and Compliance: Navigating complex licensing and compliance regulations is a major hurdle for entrepreneurs. I will advocate for reducing the state filing fee for new businesses and eliminating the minimum corporate tax for companies making little to no profit. Simplifying these processes will foster a more entrepreneurial-friendly environment, encouraging business formation and growth.

Key Points:

• Reform the sting tax on S-corporations to eliminate unnecessary burdens on growing businesses.
  
• Reduce the high Unemployment Insurance tax to promote hiring and job growth.
  
• Raise the estate tax threshold to protect family-owned businesses.
  
• Simplify licensing and compliance processes to encourage entrepreneurship and ease the financial burden on new businesses.
  
• By implementing these changes, I will ensure that Massachusetts becomes a more attractive place for small businesses to start, grow, and thrive.